Chap 3: Multi-Family Housing and Subdivisions Flashcards
3.1 Which best describes the Uniform Land Sales and Practices Act (ULSPA)?
a. A Hawaii state law governing condominium sales which aims to protect the public from deceptive practices and abuses.
b. A Hawaii state law which aims to protect purchasers of subdivided vacant lots from deceptive practices and abuses.
c. A federal law regulating subdivision sales.
d. A law protecting purchasers of new homes in large neighborhoods from unfair and abusive developers.
b. A Hawaii state law which aims to protect purchasers of subdivided vacant lots from deceptive practices and abuses.
ANSWER: B
- 2 What department regulates subdivision approval in Hawaii?
a. HUD
b. OILSR
c. DCCA
d. Real Estate Commission
a. HUD
ANSWER: A
3.3 What is a public offering statement?
a. A colored brochure showing the landscape and view from the subdivision.
b. A statement of assets and liabilities of the developer.
c. A prospectus of possible house plans that can be built on the site.
d. A full and accurate disclosure of all material and relevant facts concerning the subdivision.
d. A full and accurate disclosure of all material and relevant facts concerning the subdivision.
ANSWER: D
3.4 How many days must the subdivider give the prospective purchaser to review the public offering statement?
a. Three
b. Five
c. Seven
d. Fourteen
c. Seven
ANSWER: C
3.5 What may the Director do if the developer does not provide a public offering statement to each buyer of non-exempted subdivided land?
a. Issue a “cease and desist” order
b. Stop all sales.
c. Revoke the registration
d. All of the above.
d. All of the above.
ANSWER: D
3.6 Early in the process of developing a condominium the Commission will examine the project and issue:
a. A Feasibility study
b. A statement of written commitment.
c. An effective date for the public report.
d. A notification of intention.
c. An effective date for the public report.
ANSWER: C
3.7 The declaration of a condominium development would contain all BUT:
a. A description of the land on which it is to be built.
b. The names of the board of directors of the owners association.
c. A description of the limited common elements.
d. The percentage of undivided interest in the common elements appurtenant to each apartment.
b. The names of the board of directors of the owners association.
ANSWER: B
3.8 Regarding condominiums under HRS 514B:
a. Parking stalls are deeded to the unit owner.
b. Liens may attach to common elements.
c. The land is considered a limited common element.
d. Owners have equal rights to usage of the common elements.
d. Owners have equal rights to usage of the common elements.
ANSWER: D
- 9 If Sally purchases a “vacation license”, she is buying a:
a. Leasehold Condominium
b. Fee Simple Condominium
c. Boat slip in a harbor
d. Time Share unit
d. Time Share unit
ANSWER: D
- 10 An individual owner in a condominium can normally:
a. File a suit for partition of the common elements.
b. Exempt herself from paying part of the common expenses by waiving or abandoning her use or enjoyment of a particular common element.
c. Attend annual owners association meetings
d. Attend and participate in board of directors executive sessions.
c. Attend annual owners association meetings
ANSWER: C
- 11 According to time share law, an exchange agent is a person who:
a. sells real estate
b. handles tax-free exchanges
c. operates an exchange program
d. manages a time share plan
c. operates an exchange program
ANSWER: C
3.12 Which is true of timeshare acquisition agents who are not licensed as sales persons?
a. They must be licensed as a real estate salesperson or broker.
b. They are not required to work under the supervision of a broker.
c. They must be registered with the Commission as a time share acquisition agent.
d. They must confine their solicitation activities to an area no more than 10 feet from the front of their booths.
c. They must be registered with the Commission as a time share acquisition agent.
ANSWER: C
- 13 The time share 7 day right of recession:
a. is a mutual right to cancel by either buyer or seller.
b. is a unilateral right to cancel by the buyer.
c. is a unilateral right to cancel by the seller.
d. may be exercised by either party orally or in writing
b. is a unilateral right to cancel by the buyer.
ANSWER: B
- 15 An example of a limited common element in a condominium might be:
a. a swimming pool
b. a parking stall
c. the walkway along the row of ground floor units.
d. a snack shop in the lobby
b. a parking stall
ANSWER: B
3.16 Unless otherwise stated in the declaration or bylaws, common profits are:
a. retained by the condominium board of directors against future projected expenses.
b. distributed to the unit owners according to their individual usage of the common elements.
c. distributed to the unit owners in proportion to the common interest appurtenant to their respective units.
d. none of the above
c. distributed to the unit owners in proportion to the common interest appurtenant to their respective units.
ANSWER: C